Schering AG

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Schering AG
Industry Pharmaceutical
Fate Merged
Successor Bayer Schering Pharma AG
Bayer HealthCare Pharmaceuticals
Founded 1851
Defunct 2006
Headquarters Berlin-Wedding, Germany
Key people
Hubertus Erlen, last CEO
Products Gynaecology & Andrology
Special therapeutics
Diagnostical devices & Nuclear medicine
Oncology
Number of employees
26,000 (2004)
Website www.bayerhealthcarepharmaceuticals.com
Headquarters of Schering AG, now Bayer HealthCare Pharmaceuticals, in Berlin
Office building for pharmacological science in Berlin

Schering AG was a research-centered German multinational pharmaceutical company headquartered in Wedding, Berlin, which operated as an independent company from 1851 to 2006. In 2006 it was bought by Bayer AG and merged to form the Bayer subsidiary Bayer Schering Pharma AG, which was renamed Bayer HealthCare Pharmaceuticals in 2011. Schering was listed on the Frankfurt Stock Exchange and had 26,000 employees as of 2004.

The American pharmaceutical company Schering-Plough, formerly the Schering Corporation, was originally the US subsidiary of Schering AG, and merged with Merck & Co. in 2009.

History[edit]

In 1851, Ernst Christian Friedrich Schering opened the Grüne Apotheke (Green Pharmacy) in Berlin's Chausseestraße, and in 1871 converted into the name Chemische Fabrik auf Actien (formerly E. Schering). This date is the company's date of incorporation.

The company grew strongly in the following years. In 1913, the company employed 935 workers, 112 master craftsman and 180 office employees. In addition to the Berlin site, two factories were also located in Russia (Moscow and Wydriza) with over 1,000 workers and a plant in Great Britain. Turnover at the time was about 10 million German gold mark, created with the production of photochemicals and pharmaceuticals. Important products produced were salicylic acid, the antigout preparation atophan, various sleeping and disinfecting agents.

At the beginning of the 1920s, Schering took over the wash and colouring company W. Spindler (de) located in the Berlin district Köpenick. In 1922, the management acquired the majority of shares in the chemical factory Chemischen Fabrik auf Actien (formerly E. Schering) from the Upper Silesian Oberschlesische Kokswerke und Chemische Fabriken (de).

In 1937, the companies Kokswerke und Chemische Fabriken AG and the Chemischen Fabrik auf Actien amalgamated with the sister company Schering-Kahlbaum AG and, on the same day, renamed on account of the internationally respected name Schering to Schering Aktiengesellschaft. The pharmaceutical business thus became part of a mining and chemical group, which also produced radiographic products and pesticide products.

Bayer takeover 2006[edit]

In March 2006, Merck KGaA announced a €14.6bn bid for Schering, which by 2006 had annual gross revenue of around €5 billion[1] and employed about 26,000 people in 140 subsidiaries worldwide.[2] Bayer responded with a white knight bid and in July acquired the majority of shares of Schering for €14.6bn,[3] and in 2007, Bayer took over Schering AG and formed Bayer Schering Pharma. The acquisition of Schering was the largest take-over in Bayer's history,[2]:49–52[4] and as of 2015 this was one of the ten biggest pharma mergers of all time.[5]

At the time of the merger, the company employed more than 26,000 people in 140 subsidiaries worldwide. Schering's annual gross revenue was nearly €5 billion (2003).

Schering AG focused on the business areas of gynaecology, andrology, multiple sclerosis, oncology, and contrast agents. Schering's best-known products are probably its brands of combined oral contraceptive pills. Other key products included the interferon-beta brand Betaferon (Betaseron in North America) and the paramagnetic contrast agent Magnevist.

The largest German manufacturing facility was located in Bergkamen.

References[edit]

  1. ^ Schering AG press release. Feb 20, 2006 2005 a Record Year for Schering AG
  2. ^ a b B Rajesh Kumar. Mega Mergers and Acquisitions: Case Studies from Key Industries. Springer, 2012 ISBN 9781137005908
  3. ^ Marie-Eve Laforte for First Word Pharma. July 12th, 2006 Bayer completes acquisition of Schering AG
  4. ^ Griffiths, Katherine (25 June 2006). "Bayer acquires Schering in €17bn deal". The Daily Telegraph. 
  5. ^ Staff Pharmaceutical Technology. April 13, 2015 Healthy appetite - the ten biggest pharmaceutical takeovers

Coordinates: 52°32′21″N 13°22′02″E / 52.53917°N 13.36722°E / 52.53917; 13.36722